Cities are ranked in comparison with New York City. New York receives an index score of 100, with cities more expensive than the Big Apple scoring over 100, and those that are cheaper getting less than 100. This is the so-called WCOL (World Cost of Living) Index.

In recent years, the cost of living in Asia's hub cities like Singapore, Shanghai, and Hong Kong have surged — Asian cities now make up five of the top six most expensive places on Earth.

However, European cities remain near the top of the list. We've ranked the most costly cities in western Europe below. London, traditionally one of the most expensive places on the continent, has seen its cost fall significantly since Britain voted to leave the EU.

"The devaluation of the British pound in 2016 prompted a sharp fall in the relative cost of living in UK cities," the EIU's report notes.

T=16. Barcelona, Spain — With a reputation as a hub for tourists, Barcelona is often seen as a cheap holiday destination. However, living in the city is pricey. It has fallen one place in this year's overall ranking though.

T=16. Dusseldorf, Germany — In a recent ranking, Dusseldorf was rated the 6th best city in the world in terms of quality of life. That quality comes at a price however, and the city is one of Europe's most expensive.

10. London, United Kingdom — "London, the UK capital, fell by 18 places from 6th last year to 24th—its lowest position in the cost of living ranking in 20 years," the report says. It noted that "the devaluation of the British pound in 2016 prompted a sharp fall in the relative cost of living in UK cities."

T=6. Reykjavik, Iceland — Reykjavik is home to just 120,000 people, making up roughly one-third of Iceland's entire population. As a nation with little in the way of natural resources, most consumables must be imported, pushing up prices.

T=2. Paris, France — "The French capital remains structurally extremely expensive to live in, with only alcohol and tobacco offering value for money compared with other European cities," the EIU's report notes.

T=2. Geneva, Switzerland — The second most expensive city in western Europe is also the second most expensive in Switzerland. However, in 2017, prices for many goods have fallen, with a loaf of bread falling from an average of $7.02 in 2016, to $6.62 today.

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